Heading Towards Commercialization The Ca
Heading Towards Commercialization The Ca
Dirk Hoekstra, IPMS Ethiopian farmers project, ILRI, Addis Ababa, Ethiopia
Samson Jemaneh, IPMS Ethiopian farmers project, ILRI, Addis Ababa, Ethiopia
iii
Annex 1: Checklist used for rapid appraisal of livestock marketing 50
Annex 2: Livestock trade routes of the Tigray Region 54
Annex 3: Livestock trade routes of Amhara Region 57
Annex 4: Livestock trade routes, Oromia Region 60
Annex 5: Livestock trade routes, SNNPR 63
iv
List of Figures
Figure 1. IPMS Pilot Learning Woredas 3
Figure 2. Trends in cattle, sheep and goats population in Ethiopia,
1997/98–2004/05 9
Figure 3. Growth rate of cattle, sheep and goats population in Ethiopia,
1998/99–2004/05 10
Figure 4. Trends in cattle population of the four regions, 1997/98–2004/05 11
Figure 5. Growth rate of cattle population in the four regions, 1998/99–2004/05 12
Figure 6. Trends in percentage shares of the four regions in the total cattle
population of Ethiopia during 1997/98–2004/05 12
Figure 7. Trends in percentage share of the four regions in the total cattle
population of Ethiopia during 1997/98–2004/05 13
Figure 8. Trends in sheep population of the four regions, 1997/98–2004/05 14
Figure 9. Growth rate of sheep population in the four regions, 1998/99–2004/05 14
Figure 10. Percentage shares of four regions in Ethiopia’s sheep population,
1997/98–2004/05 15
Figure 11. Growth rate in share of sheep population in the four regions,
1997/98–2004/05 15
Figure 12. Trends in goat population of the four regions, 1997/98–2004/05 16
Figure 13. Growth rate of goat population in the four regions, 1997/98–2004/05 17
Figure 14. Percentage shares of four regions in the total goat population
of the four regions, 1997/98–2004/05 17
Figure 15. Trends in percentage share of four regions in Ethiopia’s goat
population, 1997/98–2004/05 18
Figure 16. Trends in per capita cattle ownership in the four regions,
1997/98–2004/2005 19
Figure 17. Trends in per capita sheep ownership in the four regions,
1997/98–2004/05 19
Figure 18. Trends in per capita goat ownership in the four regions,
1997/98–2003/04 20
Figure 19. Livestock market places in Ada’a Liben, Mieso, Alaba
and Dale PLWs 31
Figure 20. Livestock market places in Atsbi Wonberta, Alamata, Fogera
and Metema PLWs 32
Figure 21. Export abattoirs in Ethiopia 34
v
List of Tables
Table 1. Area and population data in surveyed pilot learning woredas 6
Table 2. Livestock population densities and per capita livestock holdings
in the study woredas 7
Table 3. Important feed/fodder sources for live animal production
in the study PLWs 22
Table 4. Main types of local animals as observed and/or reported
by key informants 25
Table 5. Livestock markets in the PLWs 29
vi
Abstract
The current levels of contributions of the livestock subsector in Ethiopia, at either the
macro or micro level, is below potential. Policy, technological, organizational and
institutional interventions to improve the contributions of livestock to the national
economy need to be based on an understanding of the constraints and opportunities
available based on sound theoretical and empirical analysis. This rapid marketing
appraisal study is aimed at assessing the supply chains of live cattle and live shoats in
the four Ethiopian regional states of Tigray, Amhara, Oromia and the Southern Nations,
Nationalities and Peoples region (SNNPR). Livestock production in Ethiopia is based
on traditional technology and practices, and is subsistence oriented. Although efforts
are being made to introduce and promote market oriented livestock production, with
or without fattening, these efforts are miniscule compared with the size of the livestock
population and the number of household who rear them. Hence, it is important to
build on these efforts, evaluate them to learn lessons, and strengthen the extension
service to promote the market orientation among the wider farming population. In
most of the study areas, feed shortage was identified as the most important constraint
to livestock production. In some of the study areas, livestock diseases were identified
as most important constraint, followed by feed shortage. Potential solutions to the feed
problem vary depending on the resource bases of a particular intervention area. The
relative bias of the extension service in favour of crop production has left the livestock
extension service too limited. This calls for the need to invigorate the livestock extension
service throughout the country. Especially, the development of market oriented livestock
extension service deserves serious attention. Livestock credit supply falls short of demand
in many of the study areas and some farmers complained about the periodic repayment
schedule of the livestock credit. On average, there are four livestock market places per
woreda. The primary markets in some of the Pilot Learning Woredas (PLWs) are fenced
in which the respective municipalities charge buyers and sellers tax for sold animals
upon exit. Farmers and traders in all of the study sites reported no or very little access to
formal livestock marketing information. Farmers in all PLWs depend on actual market day
information for prices and selling decisions. Livestock traders are almost exclusively male.
Key informants indicated that there are no farmer associations or cooperatives involved
in livestock marketing in the woredas, except in some areas where export abattoirs have
established livestock marketing cooperatives and unions. The reasons for selling livestock,
as reported by farmers, include the need to cover incidental cash expenses to fill
household food deficit gaps, buy clothing, cover school and medical fees, cover expenses
for social events, down payment for credit and credit repayments, payment for labour for
agricultural activities, buy other animals, and to purchase crop inputs. Forced sales due
vii
to shortage of feed and water during the dry period were also widely mentioned. The sale
of male shoats dominates the sale of females. The age of shoats supplied to the markets in
the eight PLWs ranges from 1 to 2 years. The most common weight of shoats offered for
sale ranges between 15 to 25 kg live weight. In almost all PLWs livestock are transported
mainly by trekking. Farmers and traders indicated a number of problems affecting
marketing of shoats and cattle. The major ones include inadequate market places, lack of
adequate supply of good condition animals, lack of holding (concentration) places, feed
shortage, shortage of stock supply for fattening/reproduction, lack of market information
and low price due to poor body conditions.
viii
1 Introduction
Ethiopia ranks first in Africa and tenth in the world with respect to livestock population.
Livestock are integral components of the Ethiopian farming systems, and perform multiple
functions at different levels of aggregation. At individual smallholders’ level, livestock are
important source of food (meat and milk), cash income, services (transport and traction)
and manure (for soil fertility management and fuel). Livestock have also social and
cultural values among producers, particularly pastoralists.
The livestock subsector also provides wide and year-round employment opportunities
for surplus family labour in rural Ethiopia (MEDaC 1999). Cash income from livestock
production is especially important for the poor and landless Ethiopian households,
particularly women, as is also true in many other developing countries (Delgado et al.
1999; Thornton et al. 2002). Income from livestock production is also used for income
diversification investment activities (Little et al. 2001). For the average rural farm
household with limited investment alternatives, livestock are used as store of wealth and
hedge against inflation.
The current levels of contributions of the livestock subsector in Ethiopia, at either the
macro or micro level, is below potential. The levels of foreign exchange earnings from
livestock and livestock products is also much lower than would be expected, given the
size of the livestock population. A number of fundamental constraints underlie these
outcomes, including traditional technologies, limited supply of inputs (feed, breeding
stock, artificial insemination and water), poor or non-existent extension service, high
disease prevalence, poor marketing infrastructure, lack of marketing support services and
market information, limited credit services, absence of effective producers’ organizations
at the grass roots levels, and natural resources degradation.
On the other hand, Ethiopia has a suitable environment for livestock production. Its
vast grazing land area, if properly developed and managed, such as by introducing
improved forage species and cut and carry systems, could contribute significantly to the
alleviation of the feed shortage problem. Its indigenous livestock breeds which have good
meat quality could increase marketable surplus if improved management practices are
used. The growing domestic demand which results from increased urbanization, higher
incomes due to economic growth, and rising population, offers significant incentive for
increased market oriented livestock production. The increasing export demand for meat
and live animals in the Middle East also offers Ethiopia an opportunity to expand its
export earnings.
1
Policy, technological, organizational and institutional interventions to improve the
performance of livestock supply chains need to be based on an understanding of the
constraints and opportunities available based on sound theoretical and empirical
analysis. An assessment of the technical factors affecting livestock productivity and
production; the effectiveness of input supply, credit and extension services; producers’
sales behaviour; livestock market participants, and marketing routes and channels;
animal prices, marketing costs and margins; and marketing support services is required
to gain a comprehensive understanding of the livestock supply and marketing system. In
other words, investigation of livestock supply chains is essential to provide information
on the current operation of the chains and identify potential constraints that need to be
alleviated and opportunities that need to be utilized.
This rapid marketing appraisal study is aimed at assessing the supply chains of live
cattle and live shoats in the four Ethiopian regional states of Tigray, Amhara, Oromia
and the Southern Nations, Nationalities and Peoples region (SNNPR). This study is
part of the livestock and livestock products marketing research study initiated by the
Improving Productivity and Market Success (IPMS) of Ethiopian farmers project, a project
implemented by the International Livestock Research Institute (ILRI) on behalf of the
Ethiopian Ministry of Agriculture and Rural Development (MoARD).1
The study is aimed at generating a qualitative understanding of the livestock supply and
marketing situations in the four regions in general and in the eight Pilot Learning Woredas
(PLWs) of the IPMS project (two in each region) in particular, including identification
of major actors, trade routes, market outlets, and major problems of cattle and shoats
production and marketing. This research study specifically attempts to identify leverage
points of intervention in the supply chain in order to realize improvements that could
benefit smallholders. The research, it is hoped, will contribute to filling the knowledge
gap on marketing of live animals in Ethiopia.
The paper is organized as follows. Section two describes the method of study. Section
three presents brief descriptions of the PLWs, while section four presents analysis of the
trends in livestock population in Ethiopia. Section five deals with live animals production
conditions. Section six deals with live animal production support services. Section seven
deals with market structure, while section eight presents household marketing behaviour
and price determination. Section nine concludes the paper and presents implications.
1. For more information about the IPMS Project, visit the project website: www.ipms-ethiopia.org.
2
2 Study methodology
The study was conducted in 2005/06 production year and all data and information
pertain to the same year. The research follows the rapid appraisal of value chains
approach (Holtzman 1995; Morris 1995). The study was conducted in the four Ethiopian
regional states of Tigray, Amhara, Oromia and the SNNPR, with particular focus on the
eight Pilot Learning Woredas (PLWs) (districts) of the Improving Productivity and Market
Success (IPMS) of Ethiopian farmers project (two PLWs in each region) (Figure 1).
Atsbi Wenberta
Tigray
Metema
Alamata
Affar
Amhara
Fogera
Legend
Bure
Benishangul- Lakes
Gumuz
Regional States
AMHARA PLW
Dire
Dawa OROMIYA PLW
Harari
Addis SNNPRS PLW
Ababa
Mies o
TIGRAY PLW
Adaa Liben
Goma Elevation
Gambella meters ASL
Alaba
Somali High : 4517
Oromiya
Low : -236
Southern
Nations
Dale
© 0 80 160 320
Kilometers
480 640
Information was collected through discussions with key informants (producers, traders
and agricultural experts) and key observants, and review of secondary literature and
analysis of available secondary data. Discussions were held with experts of the respective
woreda Offices of Agriculture and Rural Development (OoARD) and development agents
(DAs); staff of the woreda Offices of Small and Micro Enterprises, Trade and Industry
(OoSMTI) in the regions of Amhara and Tigray.
Discussions were also held at the regional level with officials and experts of the Bureaus
of Agriculture and Rural Development (BoARD); directors and researchers of the four
regional agricultural research institutes, namely Tigray Agricultural Research Institute
3
(TARI), Amhara Region Agricultural Research Institute (ARARI), South Agricultural
Research Institute (SARI) and Oromia Agricultural Research Institute (OARI). Deliberations
were also made with officials of the regional Bureaus of Trade, Transport and Industry
(BoTTI), and officials of the regional Bureaus of Finance and Economic Development
(BoFED).
Managers and/or staff of livestock export and meat processing businesses were useful
sources of information and ideas on the supply sources, constraints and opportunities
these businesses were facing. Accordingly, discussions and exchange of ideas were
made with managers and/or staff of the Modjo Modern Export Abattoir, Luna Export
Slaughterhouse, and Modjo Organic Export Abattoir (all located at Modjo town, Oromia
region); Helmex Export Abattoir and Elfora Debre Zeit Export Abattoir (both located at
Debre Zeit town, Oromia region); Elfora Metehara Export Abattoir (located at Metehara,
Afar Region); Elfora Melge Wondo Meat Plant Agro-industrial PLC (located in Wondo,
SNNPR); Elfora Gonder Food Processing Plant (located at Gonder, Amhara region); and
Abergelle International Livestock Development PLC (located at Mekelle, Tigray region).
Following the framework of supply chains and associated business development services,
the rapid appraisal study attempted to collect and analyse information on mode of
production (production technology) and production orientation (subsistence or market
oriented); livestock production support services (input supply, extension and credit);
market environment, actors and channels (market places, market access, access to
market information, livestock transportation, policy and regulatory issues, traders and
brokers, meat processors and live animal exporters, and market channels); household
live animal marketing and price determination (farmer decisions to participate in market
4
as sellers, time and frequency of sale, characteristics of animals offered for sale, price
determination), among others. Triangulation techniques were used to verify the validity
of the data and information. This report synthesizes the findings of the rapid livestock
marketing appraisal in the four regions. Checklists used for the rapid appraisal study are
given in Annex 1.
5
3 Description of the case study pilot learning woredas
(PLWs) (districts)
Results are based on data and information collected through rapid market appraisal
(RMA) method on live animals value chains in eight woredas (two woredas in each of the
four regions where IPMS is operational): Atsbi Wonberta and Alamata (in Tigray); Fogera
and Metema (in Amhara); Ada’a-Liben and Mieso (in Oromia) and Alaba and Dale (in
SNNPR) (see Figure 1 for distribution of the woredas). Below, we give a brief description
of each woreda with special emphasis on livestock production.
Human population density, elevation and rainfall for each study woredas are given in
Table 1. The woredas of Metema and Mieso have low population density (below 50
persons/km2), while the others have population densities of above 200 persons/km2,
except Atsbi Wonberta, which has population density of about 120 persons/km2. Dale
woreda has the highest population density, followed by Alaba. Metema and Mieso
woredas are predominantly lowland areas (below 1500 metres above sea level, masl),
while Atsbi Wonberta is predominantly high altitude area, with the rest being mid-
altitude areas. Rainfall is highest in the woredas of Dale and Fogera, and lowest in Atsbi
Wonberta (Table 1).
Livestock population density and per capita livestock holdings are given in Table 2.
The per capita cattle population in the woredas ranges from 0.40 (in Dale) to 1.42
(in Metema). Dale and Metema woredas also have the highest and lowest human
population, respectively. The per capita sheep and goat population is much lower than
that of cattle. The per capita goat population ranges from 0.04 (in Dale) to 0.41 (in
Metema), while the per capita sheep population ranges from 0.03 (in Fogera) to 0.74 (in
6
Atsbi Wonberta). Cattle population density also ranges from 0.26 per hectare (in Metema)
to 1.66 per hectare (in Alaba). Table 2 indicates a negative correlation between per capita
holding and livestock population density. Sheep population density per hectare ranges
from 0.01 (in Metema) to 0.91 (in Atsbi Wonberta) and the goat population density ranges
from 0.07 (in Metema) to 0.44 (in Alaba).
Table 2. Livestock population densities and per capita livestock holdings in the study woredas
In Atsbi Wonberta woreda, sheep and goat production is an important source of cash
income for smallholders. The shoats from the woreda are preferred by consumers and
have high demand. As such, the woreda is an important supplier of sheep and goats
especially to the regional capital town of Mekelle, but also to the nearby towns of Wukro,
Edagahamus, and Adigrat. The sheep and goat skins are also reportedly of high quality
because of their high fibre content. In Alamata woreda, cattle sales is an important source
of cash income making the woreda an important cattle supplier to the regional capital of
Mekelle.
Fogera woreda is an important supplier of cattle, but is a net importer of small ruminants.1
Metema woreda shares an extensive border with the Sudan. As such, live animal trade to
Sudan is an important activity. Ada’a-Liben woreda is an important supplier of livestock
(cattle and shoats) to the surrounding markets, including Addis Ababa. Its proximity to
Addis Ababa and its location at the gate of transport to the eastern and southern parts of
the country makes it an important livestock market area.
Mieso is the only woreda among the study woredas that have pastoral and agro-pastoral
farming systems, in addition to mixed crop–livestock sedentary system. About half of
1. Fogera Woreda is the origin of the famous beef-dairy cattle breed popularly known as Fogera breed.
7
the woreda is under pastoral and agro-pastoral system, accounting for the majority of
livestock population, while the sedentary mixed crop–livestock system accounts for
more than half of the woreda’s population. Households in this woreda derive substantial
income from the sale of live animals (shoats, cattle and camels), milk and milk products.
In terms of marketed volume, goats, cattle, sheep and camels are important in that order.
Given the low potential for crop production due to thin soils and low rainfall, livestock
production appears to have comparative advantage in the woreda. Dale woreda supplies
small ruminants to surrounding markets. Alaba woreda is an important supplier of small
ruminants to the surrounding markets and to Addis Ababa.
8
4 Trends, growth rate and shares of regions in livestock
population
4.1 Trends and growth rates of livestock population in Ethiopia
(1997/98–2004/05)
The cattle population of Ethiopia has been increasing during 1997–2005. During this
period, the cattle population increased from 35 million to about 39 million heads of
cattle.1 In the same period, the sheep and goat population of the country increased
from about 13 million to about 18 million and from 10 million to nearly 15 million,
respectively (Figure 2).
3
(x 10 )
45000
40000
35000
30000
25000
20000
15000
10000
5000
0
1997/98 1998/99 1999/00 2000/01 2001/02 2002/03 2003/04 2004/05
Year
However, there have been fluctuations in the size of the livestock population in the
country. Both positive and negative annual growth rates were recorded (Figure 3).
Interestingly, the sign of growth rates are consistent across cattle, sheep and goats.
Negative growth rates were observed for 1998/99, 1999/2000 and 2002/03. The highest
1. Since data were missing for 2002/03, three years moving averages were used.
9
growth rate was observed for goats during 2001/02, which showed an annual growth
rate of nearly 40%, followed by sheep (25%) and cattle (15%). Rainfall was high during
2001/02. The average annual growth rates for the period were 1.6, 5.75, and 7.54% for
cattle, sheep and goats, respectively.
Percent
50
40
30
20
10
0
1998/99 1999/00 2000/01 2001/02 2002/03 2003/04 2004/05
–10
–20
–30 Year
The average cattle populations for the 1997/98–2004/05 period were about 17.0 million,
9.6 million, 7.9 million and 2.6 million, for Oromia, Amhara, SNNPR and Tigray regions,
respectively. Cattle population showed an increasing trend in all regions during the
period (Figure 4). In Tigray, cattle population rose from about 2.6 million in 1997/98 to
2.7 million in 2004/05, while the population in Amhara rose from about 8.8 million in
1997/98 to 9.7 million in 2004/05. Similarly, in Oromia, the cattle population rose from
10
about 15.5 million in 1997/98 to 17.2 million in 2004/05, and the population in SNNPR,
rose from about 6.8 million in 1997/98 to 7.9 million in 2004/05.
(x 103)
20000
18000
16000
14000
12000
10000
8000
6000
4000
2000
0
1997/98 1998/99 1999/00 2000/01 2001/02 2002/03 2003/04 2004/05
Year
Cattle population grew by annual average rates of 1.33, 1.74, 1.80 and 2.45% in the
regions of Tigray, Amhara, Oromia and the SNNPR, respectively, during 1997/98–
2004/05. However, there were negative growth rates in cattle population in some years in
the regions, notably in Tigray during this period (Figure 5). More than 10% drop in cattle
population was observed in Tigray during the 1997/98 and 1999/2000, and 2002/03. All
three years were years of low rainfall. In Amhara, negative growth rates of 7 and 11%
were recorded in 1999/2000 and 2002/03, respectively. In Oromia, negative growth rates
were recorded in 1999/2000 and 2002/03. The SNNPR recorded negative growth rate
only in 2002/03.
The average regional shares in cattle population in the total cattle population of the
country during the period were about 7, 26, 46 and 21%, for Tigray, Amhara, Oromia
and the SNNPR, respectively (Figure 6). The shares of the regions remained fairly constant
during the period (Figure 7). The average annual growth rates of the shares ranged only
between –0.07 to 0.06%.
11
Percent
20
15
10
0
1998/99 1999/00 2000/01 2001/02 2002/03 2003/04 2004/05
–5
–10
–15
Year
26%
46%
7%
21%
Sheep
The average sheep populations for the 1997/98–2004/05 period were about 5.0 million,
4.7 million, 2.5 million and 0.8 million, for Oromia, Amhara, SNNPR and Tigray regions,
respectively. Sheep population showed an increasing trend in all regions but Tigray
(Figure 8). In Tigray sheep population dropped from about 1.1 million in 1997/98 to
12
0.73 million in 2004/05, while in Amhara, the population rose from about 4.2 million in
1997/98 to 6.4 million in 2004/05. Similarly, sheep population rose from about 5.1 million
in 1997/98 to 6.4 million in Oromia, and from 2.1 million to 3.3 million in SNNPR.
Sheep population grew by annual average rates of –5.05, 8.46, 5.33 and 9.14% in Tigray,
Amhara, Oromia and SNNPR, respectively. Although all regions recorded negative
growth rates of sheep population in some years during the period, very high negative
growth rates were recorded in Tigray (Figure 9). Growth rates of about –18% and –33%
were recorded in Tigray in 1998/99, 1999/2000, respectively, while positive growth rates
of more than 11% were recorded in the years of 2000/01 and 2004/05, the years of high
rainfall. The fluctuations in sheep population in Tigray is indicative of the need to look
very carefully at the reasons for the dropfall in population.
Percent
50
45
40
35
30
25
20
15
10
0
1997/98 1998/99 1999/00 2000/01 2001/02 2002/03 2003/04 2004/05
Year
The average regional shares in sheep population in the total sheep population of the
country during the period were about 6, 36, 39 and 19% for Tigray, Amhara, Oromia
and the SNNPR, respectively (Figure 10). The share of Tigray in sheep population among
the regions dropped by an average annual growth rate of –9.11%, while the shares of
Amhara, Oromia and the SNNPR increased by annual average growth rates of 1.52, 0.13
and 2.74% (Figure 11).
13
(x 103)
8000
7000
6000
5000
4000
3000
2000
1000
0
1997/98 1998/99 1999/00 2000/01 2001/02 2002/03 2003/04 2004/05
Year
Tigray SNNPR Amhara Oromia
Source: CSA (2005).
Figure 8. Trends in sheep population of the four regions, 1997/98–2004/05.
Percent
60
50
40
30
20
10
–20
–30
–40 Year
Tigray Amhara Oromia SNNPR
Source: CSA (2005).
Figure 9. Growth rate of sheep population in the four regions, 1998/99–2004/05.
14
6%
19%
36%
39%
Percent
30
20
10
0
1998/99 1999/00 2000/01 2001/02 2004/03
2002/03 2004/04
2003/04 2004/05
–10
–20
–30
Year
–40
Goats
The average goat population for the 1997/98–2004/05 period were about 4.47 million,
4.04 million, 2.3 million and 2.06 million for Oromia, Amhara, SNNPR and Tigray
regions, respectively. Goat population showed an increasing trend in all regions (Figure
12). In Tigray goat population increased from about 1.54 million in 1997/98 to 2.1
15
million in 2004/05, while in Amhara, the population rose from about 3.02 million in
1997/98 to 4.1 million in 2004/05. Similarly, goat population rose from about 3.0 million
in 1997/98 to 4.8 million in Oromia, and from 1.5 million to 2.3 million in SNNPR.
(x 103)
6000
5000
4000
3000
2000
1000
0
1997/98 1998/99 1999/00 2000/01 2001/02 2002/03 2003/04 2004/05
During 1997/98–2004/05, goat population grew by annual growth rates of 6.4, 6.15, 9.2
and 9.14% in Tigray, Amhara, Oromia and SNNPR, respectively. All regions recorded
negative growth rates of goat population in some years during the period (Figure 13).
The highest negative growth rates in goats population were recorded in 2002/03 (ranging
from –17% in Tigray to –27% in SNNPR), a year of low rainfall. Very high positive growth
rates were also recorded for the year 2001/02 (ranging from 28% for Tigray to 53% for
SNNPR), consistent with the amount of rainfall. The high fluctuation in goats’ population
in the regions is indicative of the need to look closely at the reasons beyond the rainfall
factor in order to devise means to counteract the fluctuation.
The average regional shares in goats’ population in the total goat population of the
country during the period were about 15.87, 32.12, 33.5 and 18.45% for Tigray, Amhara,
16
Oromia and the SNNPR, respectively (Figure 14). Among cattle, sheep and goats, Tigray
has the highest share in goats’ population. In 1997/98 and 1998/99, Tigray’s share in
goats population was higher than that of the SNNPR, a condition which had been
reversed since 1999/2000. The share of Tigray and Amhara in the total goat population of
the four regions declined by an average annual rate of –1.83% and –2.0%, respectively,
during the period, while the share of Oromia and SNNPR grew by annual average rate of
2.52% and 2.06%, respectively (Figure 15).
Percent
60
50
40
30
20
10
0
1998/99 1999/00 2000/01 2001/02 2002/03 2003/04 2004/05
-10
-20
-30
Year
-40
Tigray Amhara Oromia SNNPR
Source: CSA (2005).
Figure 13. Growth rate of goat population in the four regions, 1997/98–2004/05.
18%
16%
32%
34%
17
Percent
40
35
30
25
20
15
10
0
1997/98 1998/99 1999/00 2000/01 2001/02 2002/03 2003/04 2004/05
Year
Tigray SNNPR Oromia Amhara
Source: CSA (2005).
Figure 15. Trends in percentage share of four regions in Ethiopia's goat population, 1997/98–2004/05.
4.3 Per capita cattle, sheep and goat population in the four regions
The absolute number of livestock population and the regional shares provide useful
information in terms of the magnitude of importance livestock have in each region. However,
it is also important to ask the extent of contribution livestock make at the household level.
One general indicator of such importance would be the size of per capita holding. In this
section, we analyse the average per capita holding of cattle, sheep and goats by region.
Cattle
The average per capita holdings of cattle did not differ much across the regions during
1997/98–2004/05, ranging only from 0.71 (in Oromia) to 0.56 in (Amhara). The per capita
cattle population was consistently (although only slightly) highest in Oromia, followed by
Tigray, Amhara and SNNPR through the 1997/98 to 2004/05 period (Figure 16).
Sheep
As with cattle, the average per capita livestock population of sheep did not show much
difference across the four regions during the same period, ranging only from 0.28 (in
Amhara) to 0.19 (in SNNPR). Unlike with cattle, the relative per capita sheep population
of the regions changed during the period (Figure 17). For example, Tigray had the highest
per capita sheep population in 1997/98 but the lowest since 2001/02.
18
Number
0.9
0.8
0.7
0.6
0.5
0.4
0.3
0.2
0.1
0
1997/98 1998/99 1999/00 2000/01 2001/02 2002/03 2003/04 2004/05
Years
Amhara SNNPR Tigray Oromia
Source: CSA (2005).
Figure 16. Trends in per capita cattle ownership in the four regions, 1997/98–2004/2005.
Number
0.4
0.35
0.3
0.25
0.2
0.15
0.1
0.05
0
1997/98 1998/99 1999/00 2000/01 2001/02 2002/03 2003/04 2004/05
Years
SNNPR Oromia Amhara Tigray
Source: CSA (2005).
Figure 17. Trends in per capita sheep ownership in the four regions, 1997/98–2004/05.
19
Goats
Compared with cattle and sheep, a larger difference was observed in the per capita goat
population across the regions. While Tigray had an average per capita goat population of 0.43,
the other regions had per capita population of 0.2 or less. Tigray had highest per capita goat
population throughout the period, followed by Amhara, while the relative ranking in per capita
goat population between Oromia and SNNPR changed over the period (Figure 18).
Number
0.6
0.5
0.4
0.3
0.2
0.1
0
1997/98 1998/99 1999/00 2000/01 2001/02 2002/03 2003/04 2004/05
Years
20
5 Mode of live animal production, feeds and livestock
diseases
The mode of live animal production in all the eight PLWs is traditional, with little or no
business orientation. Female animals are normally kept for reproduction, which also
yield some amount of dairy products. Male cattle are kept to provide draught power. Old
cattle and sterile cows are consumed or sold, usually ‘as is’, without making significant
efforts to fatten them. In some areas, fattening of old bullocks and cows is traditionally
practised. Limited efforts to fatten shoats are also traditionally practised in certain areas.
In recent years efforts have been made by the various government services (OoARD,
women affairs) to promote fattening of small and large ruminants, usually in the form of
household or livestock extension packages. Most of these programs were supported by
training and credit.
Feed
Farmers in the PLWs identified feed shortage as the most important production constraint,
except in Metema, Mieso, and Fogera where livestock diseases were identified as the
most important constraint. For example, feed is the critical problem in Atsbi Wonberta
that hinders farmers from supplying the highly demanded sheep to the nearby markets,
including Mekelle. Similarly, in Alamata woreda, informants revealed that feed shortage
is a critical problem to increase the number of cattle offered for sale, although the
woreda is an important supplier of cattle to the Mekelle town. The feed supply problem is
not limited only to the shortage of own produced feed or naturally available feed such as
from grazing lands, but also the unavailability of feed supply for those who could afford
to buy.
Sources of animal feed supply in the PLWs include green fodder from communal and
private grazing lands; crop residues (straws, green and dry maize and sorghum stover);
aftermath grazing; grass hay and baled grass; fodder trees (e.g. Sesbania); commercial
feed supply from feed processing plants and cooperatives; and commercial by-products
such as rice bran, noug cake and molasses (Table 3). The use of feed from commercial
sources is, however, very limited.
There are differences in the availability and type of feeds used across the study woredas.
In Metema woreda, an extensive grazing land serves as feed source. As such, availability
of feed does not seem to be a critical problem. The problem, however, is lack of
proper management (utilization and conservation) of the existing feed. Due to the hot
temperature, grasses on grazing lands become too dry in the dry season and lose most of
21
their feed value. Moreover, wild fire (sometimes fire put on purposely) destroys a wide
area of the grazing lands. In the months of May and June, the first showers induce quick
growth of grass feed with favourable influence on the availability of feed. Some farmers in
the woreda plant fodder trees like Sesbania using irrigation water.
Table 3. Important feed/fodder sources for live animal production in the study PLWs
In Fogera, rice straw is becoming an important feed. Rice bran is also becoming an
important by-product feed.1 In Fogera woreda, an extensive grazing land is covered with
a pervasive thorny weed Asteracantha longifolia (locally known as amekela). The weed
1. The misconception by farmers that rice straw and bran reduce milk yield of cows and might lead to sterility
of cows is fading away and rice production is now considered as an important source of feed. Some farmers mix
the rice bran with local beer residue, commonly known as atella.
22
suppresses growth of grass forage species and prevents livestock from grazing due to its
stingy thorns. Efforts to control the weed would contribute significantly to the alleviation
of the feed shortage, at least in some parts of the woreda.
Teff straw is an important feed resource in the Ada’a-Liben woreda. Ada’a-Liben woreda
also has a better commercial feed supply than any of the other study woredas. Moreover,
teff productivity is higher in the woreda which improves the availability of teff straw.
In Mieso, since the woreda is drought prone, feed shortage is an important problem
during the dry season. Interventions to promote sustainable feed supply would include an
integrated approach centred on the availability of irrigation water. Sorghum stover is an
important feed in Mieso. Interventions to improve the feed value of sorghum stover could
contribute to alleviation of the feed problem.
Communal and private pastures make substantial contribution to sheep and goat feeds in
Alaba (Tsedeke 2007). However, growing private pasture faces the problem of shortage
or lack of forage seed supply. Private forage seed supply has started recently. In addition,
tillers (tinned plants especially maize) and fillers (crops intentionally planted on part of
crop lands or around homestead to be used as feed) are important feed sources in Alaba.
Long season sorghum is widely grown in Alamata woreda. Hence, sorghum stovers are
widely used as feed. However, farmers keep the stovers so dry that the stovers lose their
feed value significantly. Interventions to improve the feed value of the sorghum stovers
could contribute significantly to the alleviation of the feed problem.
Dale is a high population density woreda, and so land is very scarce. Dependence
on crop residues as feed sources does not appear to be promising. Hence, backyard
forage development integrated with the perennial crops production could offer a better
possibility. The difference in the types of feeds available, the extent of feed shortage, and
the ensuing differences in the potential solutions to alleviate feed shortage across the
study woredas is an important indication of the need for targeted and location specific
interventions in promoting feed development.
Livestock diseases
2. A special study on the major livestock diseases in the PLWs has been completed and will be published
separately.
23
(fasciolosis), Pasteurellosis, PPR (peste des petits ruminants), trypanosomosis, mastitis and
blood urine. In Fogera woreda, biting flies prevent animals from grazing during the day,
especially when temperature is high.
24
6 Livestock production support services
6.1 Input supply
Initial stock
The source of initial breeding stock for farmers in the PLWs include purchases from the
nearby markets, gifts from parents and relatives, farmer-to-farmer exchange through
bartering system, share holding, and limited supply of improved breeds from the woreda
OoARD as part of the household extension program. It is important to note that the
source of breeding stock from nearby markets also include animals brought from other
areas in particular from pastoralist areas. Examples of this can be seen in Miesso and
Alamata, where breeding animals from the Somali and Afar communities, respectively,
can be found.
The main types of local animals as observed and/or reported by key informants are given
in Table 4. Generally, the types of local animals differ by the altitude of the woreda. In the
more highland areas, highland types dominate. In some cases, key informants were not
able to identify the type of the animals reared.
Table 4. Main types of local animals as observed and/or reported by key informants
Dale Respondents could not Bokasso, Fero, Highland Respondents could not
identify type identify
1. The types of shoats reared in the Tigray Region are popularly identified as Abyssinian highland, Elle, Begayit
and Akeleguzay.
25
Feed supply1
Feed supply is limited in almost all the study woredas. Natural feed, commercial feed
and by-products are supplied in the PLWs in a very limited extent. Commercial feed
supply is essentially limited to the urban areas serving urban agriculture such as dairy
and fattening. Farmers sale straws, green grasses, hay, baled hay, green and dry stovers.
In some cases, traders are involved in feed market. However, there is a long way to go in
promoting and developing feed marketing in the study areas (see Table 3).
The fattening extension program follows a similar approach in many of the PLWs.
Generally, the fattening extension package involves selection of beneficiary farmers,
arrangement of credit supply and the provision of inputs. A peasant association (PA)
level committee, composed of woreda OoARD experts, DAs, chairperson of the PA, and
selected farmers from the PA, assists the selected farmers in purchasing animals (cattle
and shoats). Generally, the shoats fattening extension program was designed to enable
farmers to fatten and sell at least three times a year. However, we observed that in some
woredas, some farmers divert the credit to other purposes and some of them quit after
1. The IPMS project has conducted a separate study on feed marketing in the four regions of Tigray, Amhara,
Oromia and SNNPR. A separate report will, therefore, be published on it.
2. In Metema, ILDP is involved in providing extension service in livestock development, especially in im-
proved feed utilization and conservation, such as baling.
26
fattening only once. When asked why this was so, some farmers responded that keeping
livestock for production purposes is preferred by some households for prestige purposes.
Other problems observed with regard to the fattening extension program in the PLWs
include problems of input supply (both initial stock for fattening and feed), and lack of
livestock marketing extension services. Some farmers reported that the credit comes at a
time when there were no animals to buy for fattening.
It must be noted that although efforts are being made to introduce and promote market
oriented livestock production, these efforts are miniscule compared with the size of the
livestock population and the number of household who rear them. Hence, it is important
to build on these efforts, evaluate them to learn lessons, and strengthen the extension
service to promote the market orientation among the wider farming population.
Similarly, the Fogera OoARD experts reported that there was serious shortage of animal
health workers to meet the demand of farmers for animal health services. In Ada’a-
Liben woreda, veterinary services are provided by woreda OoARD, the Ada’a-Liben
Dairy Cooperative and private individuals. In Mieso the Office of Pastrolaists and Rural
Development (OoPRD) provides veterinary services, although the coverage is too limited.
There are only three veterinary posts in the woreda. Whenever there is livestock disease
outbreak, veterinarians positioned at the woreda capital are also called upon to provide
veterinary services in the infected areas. Some veterinary drugs are sold in the market,
a practice that might compromise the effectiveness and appropriateness of the drugs
(Fekadu 2006).
27
limited cases, other sources of credit such as from projects, the women’s associations and
others were also available.
In some of the study woredas, livestock credit services were terminated or significantly
reduced. For example, in Metema woreda, the OoARD used to provide credit to farmers
for fattening purpose. It was reported that the credit supply for fattening was reduced,
despite the apparent high need for credit for goat production and fattening in the woreda.
According to OoARD experts, the credit supply was terminated due to problems of
credit collection. Similarly, in Fogera woreda, although credit for fattening purposes
was provided by the OoARD, the supply was reduced. Some farmers also complained
about the repayment schedule which, according to them, does not fit the requirements of
fattening activities, since the credit terms require periodic repayment that does not match
the fattening cycle.
Some of the PLWs require down payment for the livestock credit. For example, in Ada’a-
Liben and Alaba woredas a farmer had to contribute 25% of the purchase price as down
payment. According to the OoARD experts, down payment is required in order to implant
sense of ownership, facilitate repayment of the credit and reduce the beneficiaries’
future repayment burden. However, farmers in the woredas complained that the amount
of credit supplied was below the purchase price of the animals and that the credit
money was released at a time when the livestock prices are higher. There seem to be
an increasing demand for credit for fattening purposes in all the study woredas. Some
farmers also reported the problem of finding the right animals to buy at the time when the
credit was provided.
28
7 Live animals market structure
7.1 Livestock market places
A number of feeder and primary markets exist in the PLWs (animal trade movement
routes in the regions is given in Annexes 2–5). On average, there are four livestock
markets per woreda (Table 5). The primary markets in some of the PLWs are fenced in
which the respective municipalities charge tax on buyers upon exit from the market.
Some of the municipalities also charge sellers for unsold animals since they find it
difficult to distinguish between sold and unsold animals. Many of the markets in the
PLWs feed into each other, especially when the market days are different. In some PLWs
shoat markets are different from cattle markets. Markets in the PLWs do not have market
infrastructures.
The most common market day of these livestock markets is Saturday, followed by
Monday, Tuesday, and Thursday (Table 5). Market days on Wednesdays, Fridays and
Sundays are not common. Based on traditional calendar, markets in Dale woreda
convene every five days. In some market places, markets convene twice a week, while
in a few (usually capital towns of the woreda) markets convene every day, although the
largest gathering takes place in one or two days.
29
Fenced or
PLWs Market place Major animals sold Market days
unfenced
Ada’a-Liben* Adulala Goats, sheep, cattle Unfenced Friday
Godino Cattle, Sheep Unfenced Monday
Dire Cattle, goats Unfenced Monday
Debre Zeit Sheep, goats Fenced Saturday
Mieso Mieso Goat ,sheep, cattle, Tuesday market Monday and Tues-
camel place is fenced. day
Monday market
place is un-
fenced
Asebot Cattle, goat, sheep, Unfenced Thursday
camel
Bordede Cattle, goat, sheep, Unfenced Thursday
camel
Kora Goats, sheep Unfenced Monday
Alaba Kulito Sheep, goats, cattle Fenced Thursday
Kobo Goats, sheep Unfenced Friday
Guba Sheep, goats Unfenced Tuesday
Besheno Goats, sheep Unfenced Tuesday
Dale** Sasamodella Sheep, cattle Fenced Every fifth day
Antete Goats, sheep Fenced Every fifth day
Bokasso Sheep, cattle, goats Fenced Every fifth day
Naramodela Sheep, cattle, goats Fenced Every fifth day
* Ada’a-Liben woreda has been split into two. The data pertain to the situation before the split.
** Dale woreda has been split into three. The data relate to the situation before the split.
In Atsbi Wonberta, buyers in the livestock market places of Endaselase and Haikimeshal
are required to pay Ethiopian birr (ETB)1 1/shoat to the municipality upon exit from the
market place. Sellers also pay the same tax amount on unsold shoats upon exit from
the market mainly due to the problem the municipality was facing in identifying sellers
from buyers. Usually, the markets of Kilisha Emni and Haikimeshal feed into the market
at Endaselase, while sheep from Dera are directly transported to the nearby towns of
Adigrat, Wukro and Mekelle, since Dera is closer to the Mekelle–Adigrat main road
than Endaselase. Similarly, the Waja and Gerjele markets in Alamata woreda feed into
the Alamata market, although traders in the Waja and Gerjele markets also take cattle
directly to Mekelle. In Metema, a market fee of ETB) 1.5 per cattle is charged at the
Shehedi market, and the fee receipt remains valid for one month. Goats are not charged
market fees in this market. In Fogera woreda, although the Woreta livestock market is
fenced, sellers sell their animals outside of the fenced market place, apparently to avoid
paying marketing fees.
In Mieso woreda, interestingly the Monday and Tuesday market places in Mieso town are
different. While the Tuesday market place is fenced, the Monday market place is not. On
the Monday market, the Somalis are major sellers. On the Tuesday market, the Oromo
pastoralists and agro-pastoralists are the major sellers of animals. In this market, the
30
municipality collects taxes of ETB 2 per animal for shoats, ETB 10 per animal for cattle
and camel, and ETB 5 per donkey. In Alaba woreda, the Kulito town municipality collects
tax of ETB 1.5 per animal for shoats, and ETB 3 per animal for cattle or donkey. Sellers
pay the same amount of tax on unsold animals upon exit from the market place.
The livestock market places in each of the PLWs are distributed around the capital town
of the woreda, with the capital of the woreda serving as an important market place
(Figures 19–20). The market places are distributed in the 10–60 km radius from the
woreda capital. Some parts of a woreda are far from a market place. As such distance to
market places was reported as a major problem of market access by farmers.
Dera
)
"Endasillasie
"
)
Haik Meshal
)
"
Kilisha Emni
)
"
Kokit
)
" Shehedi
)
" Meka
)
"
Shenfa
)
" Gerijile
)
"
Alamata (Town)
)
"
Waja (Town)
)
"
Wereta
Kidste hana
)
"
)
" )Alember
"
Legend
Guraamba
)
"
)
" Market Places
Road type
All-weather roads (asphalt)
All-weather roads (gravel)
Dry-weather roads
Motorable tracks (status uncertain)
Fogera wereda
±
Metema wereda
Atsbi wereda
Kilometers
Alamata wereda
0 25 50 100 150 200
Figure 19. Livestock market places in Ada’a-Liben, Mieso, Alaba and Dale PLWs.
The Ada’a-Liben PLW has good access to markets mainly due to its proximity to the Addis
Ababa market and the nature of the distribution of the market places. The good road
access in the woreda also contributes to better market access. As such, farmers in the
woreda perceived little problem of access to livestock market due to distance. Moreover,
there seems to be adequate and continuous demand for cattle and shoats in the woreda,
mainly because of the easy access of buyers to the market places. In Atsbi Wonberta
31
woreda, some part of the woreda is still far away from livestock markets. A new road
that improves the connection of the woreda to the Adigrat market is expected to increase
market access of farmers in the northern part of the woreda. In Alamata woreda, farmers
reported that transporting animals to market was not a major problem of market access as
the woreda is basically flat plain, especially in the lowland system. However, distance to
market was a concern for the highlanders.
Dera
)
"Endasillasie
"
)
Haik Meshal
)
"
Kilisha Emni
)
"
Kokit
)
" Shehedi
)
" Meka
)
"
Shenfa
)
" Gerijile
)
"
Alamata (Town)
)
"
Waja (Town)
)
"
Wereta
Kidste hana
)
"
)
" )Alember
"
Legend
Guraamba
)
"
)
" Market Places
Road type
All-weather roads (asphalt)
All-weather roads (gravel)
Dry-weather roads
Motorable tracks (status uncertain)
Fogera wereda
±
Metema wereda
Atsbi wereda
Kilometers
Alamata wereda
0 25 50 100 150 200
Figure 20. Livestock market places in Atsbi Wonberta, Alamata, Fogera and Metema PLWs.
Farmers in Metema and Fogera woredas identified distance to market and associated
transportation problem as the major market access problems in the woredas. Similarly, in
Mieso woreda, distance to market was reported as an important market access problem
to producers. Some farmers trek their animals for 3–5 days before they reach the Mieso
market. Similarly, in Dale woreda, farmers reported distance to markets as problem of
market access. However, farmers were of the opinion that despite the transportation
problems, they could have benefited significantly more from livestock sales should the
feed shortage problem be alleviated. Distance to market places was not an important
factor in Alaba woreda, since farmers commonly sell animals at farm gates.
In most PLWs, both producers and traders are involved in selling livestock directly to
consumers. Traders can be residents of the woreda or those who come from other areas.
32
Livestock traders may travel for as far as hundreds of kilometres for business. Informants
reported the involvement of brokers and commission agents in Ada’a-Liben and Mieso
PLWs. Livestock traders are almost exclusively male. Key informants indicated that
there are no farmer associations or cooperatives involved in livestock marketing in the
woredas. Every producer markets animals individually. There are no grades and standards
applied to livestock. There is little prior marketing arrangement and personalization of
exchange in the livestock market. Sellers usually sell animals to whoever offers higher
prices.
Some traders combine farming and trading while some act as both wholesalers and
retailers. As retailers, they sell directly to consumers in the nearby towns. As wholesalers,
they sell to retailers in the same towns or to those who come from outside the woredas.
Traders are usually not involved in fattening; they buy from the markets, transport the
animals and sell them in their destination market. Several traders complain about the lack
of appropriate livestock market places.
The involvement of brokers was reported to be significant in Ada’a-Liben and Mieso, the
woredas where livestock purchase for export meat or live animal export purposes is also
very important. In the Ada’a-Liben markets, it was reported that brokers usually work
for the buyers, and tend to collude2 with each other in fixing prices. The larger livestock
buyers may use several brokers in one market, the more likely they collude. Further
investigation is required to identify the positive and negative roles of brokers in the
livestock market in the woreda.
In Mieso woreda, most sales involve brokers, who usually assume the power of
negotiation on prices on behalf of producers. The brokers eliminate the direct contact
between producers and buyers. The producers usually hand over their animals to brokers
upon arrival at the market places, because producers believe that the brokers know
better about the market conditions. It appears that the brokers, especially Somali brokers,
usually have clan relationships with the producers who hand them over animals. The
brokers who have no clan relationships with producers do usually have some other
relationships with the producers. Brokers negotiate on prices with buyers and payment is
effected in cash on the spot. In the Ada’a-Liben and Mieso, the woreda OoARD experts
suggested that organizing farmers for collective marketing of cattle and small ruminants
can be an option to improve the marketing of livestock and increase benefits to farmers.
Normally, brokers are paid commission from sellers and buyers, amounting to ETB 2 per
animal for shoats, and ETB 10 per cattle and camels.
2. Locally, the practice of broker collusion to fix prices is called ‘tying prices’.
33
Meat and/or live animal exporters
Six export abattoirs are currently operational in Ethiopia, viz. Elfora3 Bishoftu (located in
Bishoftu, Oromia), Elfora Melge Wondo (located in Wondo, SNNPR), Elfora Metehara
(located in Metehara, Oromia); Helmex (located in Bishoftu, Oromia); Modjo Modern
Export Abattoir (located in Modjo, Oromia); and Luna Export Abattoir (located in Modjo,
Oromia) (Figure 21 ). Three new export abattoirs are under establishment, viz. Modjo
Organic Export Abattoir (located in Modjo, Oromia); Abergelle International Livestock
Development PLC (located in Mekelle, Tigray); and Ashraf Industrial Group (located
in Bahir Dar, Amhara). The establishment of the Modjo Organic Export Abattoir is
completed, and the plant is ready for operation.
Tigray
3
(
!
Affar
1
(
! Amhara
Benishangul-Gumuz
Dire Dawa
Harari
Addis Ababa
5
(
!
2!
( 8!
(9
!
(
6!(7
Gambella Somali
Oromiya
4
(
!
Southern Nations
³
2 Bishoftu ELFORA
3 Mekele DEJANA ENDOWMENT
4 Melge Wondo ELFORA
Kilometers
5 Metehara ELFORA
0 85 170 340 510 680 6 Mojo MOJO MODERN ABATTOIR
7 Mojo LUNA EXPORT ABATTOIR
8 Bishoftu HELMEX
9 Mojo ORGANIC
3. Elfora Agro-Industries PLC is a business owned by Dr Sheikh Mohamed Hussien Ali Al-Amoudi. In addition
to the export abattoirs, the company has four plants that process meat for domestic sale, viz. Dire Dawa Meat
Processing Plant, Gonder Food Processing Plant, Kombolcha Food Processing Plant, and Addis Meat Processing
Plant. In addition to the meat and food processing plants, Elfora Agro-Industries PLC also has plants that process
crop products which are located at areas known as Birr Sheleko and Chefa Robit.
34
The export abattoirs export chilled and frozen beef, mutton and goats meat. Unlike
the other companies, Elfora is also involved in live animal export. The Elfora Bishoftu
abattoir slaughters sheep and goats for export, and cattle for domestic sale. The Elfora
Melge Wondo slaughters cattle, while the Elfora Metehara abattoir slaughters sheep,
camel and goats. The Modjo Modern Export Abattoir slaughters sheep and goat, while the
Luna Export Abattoir slaughters sheep and goat, and cattle based on demand. The newly
established export abattoirs plan to slaughter sheep, goats and cattle.
Elfora Melge Wondo has purchasing centres in the SNNPR region. Cattle (including calves)
and shoats are purchased from different areas of SNNPR, and Oromia regional state. It has
fixed buying centres at Yabelo, Negele Borena, and Shakiso. These buying centres have a
team of buying personnel including veterinarians, and are equipped with weighing scales
since animals are purchased based on weight. Personnel of the buying centres purchase
animals brought to the buying centres by suppliers (traders, cooperatives or farmers) or
they travel to market areas (e.g. Bale, Moyale) to purchase animals on market days. It
was reported that there are four farmer cooperatives in Negele Borena area who supply
animals to the plant. The cooperatives purchase cattle and shoats and supply them to the
company’s purchasing centres. But their scale of operation is limited. Elfora Debre Zeit
Abattoir purchases animals through its own buyers or contracts with traders.
Helmex export abattoir has no fixed purchasing centre. Suppliers collect yearlings, calves
and shoats from different areas in the country and bring them to the abattoir. The supply
of animals to Helmex comes from Oromia (Negele Borena, Yabelo, Arsi, Harar, Metehara,
Shewa, Gindebert, Ambo); Somali region; and Arbaminich and Sodo in the SNNP region.
Some animals are bought from Wello area in the Amhara region.
Luna Export Abattoir has its own purchasing centres in different places for different
types of animals. Bale and Ginir goats with good body condition were reported to be
most preferred by the abattoir, as the meat does not turn black in the process of storage.
Moreover, it was reported that shoats from Ogaden, Babile, Borena, Yabelo, Konso,
Wolayita, Afar, Wello, and Shaula are also preferred. With regard to camels, it was
reported that the Ginir type is most preferred. Generally, it was noted that meat from
goats with long horn is more liable for meat discoloration. Luna Export abattoir has
organized primary cooperatives and a union in Yabelo, which supply animals to the firm’s
purchasing points at negotiated prices.
According to key informants, the formation of cooperatives and union has the benefits
of reducing excessive price fluctuations, and may increase benefits to farmers. It was
reported that there has so far been good working relationship between the abattoir and
the farmers cooperatives and the union. The abattoir arranges for the producers to visit
35
the abattoir to create appreciation of the process and thereby encourage them to increase
production and supply of animals. The cooperatives or union supply animals from their
own production and some times they also buy animals from others and supply to the
local purchasers. The shoats, especially goats, must be of weight between 14 and 25
kg and non-castrated. Any trader or producer can supply animals by bringing to the
slaughterhouse, as well.
For example, it takes about eight days to trek cattle from Alamata to Mekelle, at a cost of
ETB 16/head (about ETB 2/day per animal), while trucks charge about ETB 60–80/head.
Hence, traders prefer to trek their animals as it is cheaper than transporting with trucks. In
Metema woreda, it costs ETB 50/cattle for trucking from Shehedi (the capital town of the
woreda) to Metema Yohannes (the export port), a distance of only about 35 km, but only
ETB 5/cattle for trekking an animal the same distance.
ISUZU tracks are mostly used for trucking animals. Traders or producers prefer to truck
fattened animals, apparently to avoid weight loss and deterioration in body conditions
during transportation. An ISUZU truck could carry 6–10 cattle. In Ada’a-Liben woreda,
key informants estimated that about 40% of the purchased cattle in the woreda are
trucked. In Mieso woreda, shoats are trucked from Mieso to Modjo, Debre Zeit and Addis
Ababa. The cost of trucking shoats from Mieso to Addis Ababa is usually ETB 700–800
per full load of an ISUZU truck, which carries about 80–120 shoats, depending on the
size of the animal. Cattle are also trucked from Mieso to Addis Ababa, at a cost of ETB
800–900 per full load of ISUZU truck, which carries about 10 heads of cattle at once.
Animals purchased in Alaba are moved to Awassa Zuria woreda, Shashemene, Hosaena
and to Addis Ababa. Shoats are trucked from Alaba to Addis Ababa on ISUZU trucks. The
36
cost of trucking amounts to ETB 800–900 per full load of ISUZU. Likewise, traders use
trucks to transport cattle from Alaba to Addis Ababa. An ISUZU truck carrying about 12
cattle charges about ETB 1000.
In Tigray, Oromia and SNNPR, it was found out that there was no available livestock
market studies documented in the RBoARDs. In Amhara region, market chain studies of
dairy, beef, and small ruminants had been conducted by the RBoARD, reports of which
were available at the bureau. In Dale woreda, experts of the OoARD reported that
livestock marketing studies were conducted by the Fourth Livestock Development Project.
The Tigray RBoARD had developed a schematic sketch of livestock market trade routes
within the region, and routes of livestock inflows and outflows from the region. There are
also secondary databases collected at woreda level and compiled at the RBoARD. These
secondary data include prices by category of animals and volume of transaction.
In all regions, various efforts have been made by the woreda OoARD to collect market
data during market days. There are variations across woredas in the formats with which
the secondary data were collected. In most of the woredas, market data was not collected
continuously throughout the year. The market data were never transmitted back to the
farmers in any of the regions. Rather, the data would be compiled at woreda level and
transmitted to the regional BoARD.
In some of the woredas, (e.g. Alaba, Atsbi Wonberta and Alamata), in case a buyer
needs warranty on the animal bought (e.g. to ensure that it is not stolen from others), the
municipality tax collectors register the seller’s address, the colour of the animal, price and
other information about the animal on the tax receipt upon payment of extra fee. This is
said to have minimized sale of stolen animals. Such tax receipts can be used as source
of market information, although there could be selection problem since information is
recorded only for sold animals whose buyers require warranty.
Regional DPPC offices are also involved in gathering information on livestock supply
and price in the regions, as part of their disaster prevention and preparedness activities.
37
For example, the Tigray regional office of the Disaster Prevention and Preparedness
Commission (DPPC) was collecting data on livestock prices and supply in woredas
throughout the region. Weekly prices were collected at woreda level, and aggregate
monthly price data were sent to the regional office. In addition to collecting market
data, the office conducts simple analysis of relative price movements and publishes brief
reports on market trends.
Farmers and traders in all the PLWs reported none or very little access to formal livestock
marketing information, although traders may be better informed about market conditions
and prices than farmers because of their networks. Farmers in all PLWs depend on actual
market day information, or on market information obtained from relatives, friends or
neighbours for prices and selling decisions. Hence, lack of market information was found
to be a serious problem in farmer negotiation power.
According to OoARD experts and officials of the regional Bureau of Trade, Transport and
Industry (BoTTI) in the regions of Tigray, Oromia and SNNPR, the reasons given for the
absence of license requirements include the difficulty to control the trading business as
the traders are mobile from place to place and the lack of documentation of business
records by traders. It would be interesting and useful to find out if license requirements
would improve the marketing of livestock in the region. In Alamata, although there was
no license requirement at the time of the study, it was reported that license requirements
were in effect until 2001. It was not clear why the requirement was terminated.
4. According to the head of the Fogera Woreda Desk of Small and Micro Enterprises, Trade and Industry, some
trading businesses need to acquire license even if the operating capital is less than ETB 3000 (e.g. grain trade).
Registration is permitted for subsectors such as consumer goods retail (shops), tailors, carpenters, welders etc.
5. According to the regional law, businesses with operating capital of less than ETB 3000, only have to register.
Ethiopian law stipulates that traders with less than ETB 5000 capital can operate without being licensed (they
only need to be registered), while businesses operating with above this capital should be licensed. .
38
Unlike in the other three regions, the Amhara region has woreda level offices of Small
and Micro Enterprises, Trade and Industry that issue trade licenses6 for domestic trade.
These offices were established in 2004. Traders involved in livestock export are licensed
only by the Ministry of Trade and Industry. Despite the strict requirement for license in the
Amhara region, many unlicensed traders are involved in livestock trading, signifying the
difficulty encountered in enforcing trade laws in the livestock trading business. Staff of
the Small and Micro Enterprises, Trade and Industry commented that the livestock trade
licenses did not specify the species of animals the licensed is expected to be involved
in trading, thus creating problems of controlling the traders. It would be interesting to
investigate if specific licenses would improve the situation.
6. In the regions of Tigray, Oromia and SNNPR such offices are organized only at the regional and zonal
levels.
39
8 Household livestock marketing behaviour
and price determination
8.1 Reasons for household selling decisions
Reasons for sale
The reasons for selling livestock, as reported by farmers, include to cover cash needs to
fill household food gaps, clothing, school and medical fees, social events, down payment
for credit and credit repayments, payment for labour for agricultural activities, to buy
other animals, and to purchase crop inputs. Forced sales due to shortage of feed and
water during the dry period were also widely mentioned. In some woredas, especially
Metema, fear of theft was mentioned as an important reason for selling animals. The
importance of the different reasons for selling animals differs from place to place. Below,
we discuss the reasons for selling woreda by woreda in order to highlight the relative
importance of the reasons.
Farmers in Atsbi Wonberta and Alamata woredas, apart from those involved in fattening
activities, reported that the major reason for selling small ruminants is to cover incidental
cash expenses, including expenses for buying food for the household, social events, and
credit payment. Farmers in these woredas also indicated that they sell livestock due to
drought and feed shortages during the dry season (February–June).
In Metema woreda, a major commercial crop production area, the main reasons of
farmers to sell animals are to pay for labour for agricultural activities (especially land
preparation, weeding and harvesting) and fear of theft of oxen. Animal theft is becoming
a major concern of farmers in the woreda. Selling animals to buy food is not a reason in
Metema. In Fogera woreda, cash need to meet social obligations was mentioned as the
most important reason for selling animals, while the need to fill food gap was considered
unimportant. In Ada’a-Liben woreda, since crop productivity, especially teff, is relatively
high, the need to sell animals to fill food deficits is not an important reason except in few
lowland PAs. Key informants also reported that sometimes producers sell livestock during
dry season due to shortage of feed. Under such situations, animals’ body conditions are
poor and prices tend to be low.
In Mieso woreda, since the area is drought prone, the main reasons for selling animals
is to cover cash needs to buy food grains and to cope up with seasonal feed and water
shortages. Households also reported that they sell animals in order to replace them with
younger stock. In Dale and Alaba woredas, filling food gap, loan repayment and forced
sales during dry period were mentioned as the most important reasons for selling.
40
8.2 Characteristics of animals offered for sale
The animals offered for sale in the PLWs are local breeds. Introduction of improved
breeds is rare. The sale of male cattle and shoats dominates the sale of females. Female
animals are sold mostly when they are old or infertile. According to farmers, an ox is
usually used for traction starting at the age of 5 and used for traction for 5–6 years, after
which it may be sold for beef, with slight difference from area to area in the duration
bullocks are used for traction. The age of shoats supplied to the markets in the eight
PLWs ranges from 1 to 2 years. The most common weight of shoats offered for sale ranges
between 15 to 25 kg live weight. The body condition of the animals offered for sale in
most of the PLWs is mostly good. Farmers and traders estimate the age of the animals by
checking their teeth. Shoat’s body weight is also assessed by gently holding the waistline
of the animals. The colours of shoats and cattle demanded differ from woreda to woreda.
Below, we give short descriptions of the characteristics of animals sold that are specific to
each woreda.
In Alamata, it was reported that about 80% of the cattle sold are bullocks. Cattle offered
for sale in Alamata are predominantly brown in colour. The sheep offered for sale are
mostly light yellow in colour, while the goats are basically black with several white spots.
Sheep from the highland system are mostly hairy, while those from the lowland system
have smooth hair, as are the goats.
In Metema woreda, goats offered for sale are predominantly white or grey in colour,
while the cattle are mostly brown. According to farmers, goats of black colour are not
demanded. In Fogera, average age of cattle offered for sale was estimated to be 8–12
years, while the age of cattle sold for reproductive purposes was estimated to be 3–5
years. The dominant colour of cattle sold in Fogera is black, with some having mixed
colour (black, white and brown), while that of shoats is white, with smooth hair.
In Mieso woreda, black head Somali sheep locally known as Wanke are the major sheep
type sold. An interesting phenomena occurring in the Mieso market was that the demand
for female sheep was increasing. These female are destined for the Addis Ababa market.
It should be interesting to find out why this increase in demand for female sheep was
occurring. While goats’ colour sold in Mieso is mixed dominated by brown and grey, the
sheep are mostly white with black head. Better demanded sheep in Dale woreda are light
yellow or brown in colour.
41
8.3 Time and frequency of sale
Farmers in most PLWs sell animals mostly during the holiday seasons which usually
occurs between September and December, and the month of April. Sales during the dry
season (February–June) due to feed shortage is also common. In the woredas of Metema
and Mieso, livestock sales are made more or less regularly throughout the year. However,
the peak livestock sales in Metema is during the months of June (to finance agricultural
labour) and December (for loan repayment). With regard to frequency of sale, farmers in
most PLWs make animal sales once or twice a year.
September is a month of the two important Ethiopian holidays (New Year and The Finding
of the True Cross) and farmers are usually in need of cash at this time to cover school
expenses for children and to fill household food deficit until harvest time. As a result,
farmers sell substantial number of shoats in September, a month when the body condition
of the animals is also good and the animals can fetch better prices. Bullocks are also sold
usually after the planting season, which is usually during September and October.
In Mieso woreda, sedentary farmers, pastoralists and agro-pastoralists offer their animals
for sale throughout the year. Animal conditions are better during September to December
and prices are usually higher at this time. However, the period January to April exhibits
higher number of animals offered for sale due to shortage of feed. During this time,
the sellers are mainly pastoralists and agro-pastoralists. During the rainy season (June–
August), the number of animals offered for sale decreases because households (especially
the pastoralists and agro-pastoralists) have more milk for household consumption and
feed availability improves. Fattened cattle and better conditioned shoats are usually
sold during holidays. It was reported that an average farm household in the woreda is
expected to sell 2–3 times in a year which would involve different species of animals.
Households in Dale and Alaba woredas sale animals mostly once a year and the number
sold at a time would not usually be more than one per household.
42
8.4 Price determination
On the surface, and as reported by market participants, livestock markets appear
reasonably competitive, since market power concentration is not easily visible, except in
areas where brokers are involved. Sellers trek back their animals if prices are perceived
to be too low. Prices are determined based on negotiations between seller and buyer at
the market place, except in areas where brokers are involved. In all PLWs, payment is
effected in cash on spot at the market place. However, a more rigorous analysis is needed
to establish if indeed the livestock markets are competitive enough.
The role of brokers in affecting livestock prices was controversial. Most farmers
complained about brokers’ involvement in the livestock market. Brokers are involved in
transactions and transportations of animals and obtain commission of unfixed amount
from sellers, buyers and transporters. The brokers operate informally. Key concerns
farmers reported about brokers include: high brokerage fees, misinformation on prices
paid by buyers, siding with buyers, and hindering transaction if they were not allowed to
be involved (Tsedeke 2007). On the other hand, traders who come from distant locations
reported that they require guarantee of local brokers for any problems that may arise after
sales (e.g. stolen animals, family members disagreeing on selling the animal etc.).
In general livestock prices are affected by several factors. These include period of sale
(festival vs. non-festival periods); age, weight, colour and body condition of animals
(as influenced by feed availability and diseases); value of hides and skins; urgency of
household cash needs (e.g. to fill food gaps); role of brokers; and distance producers
travel to sell animals and the ease of trekking animals back.
The major problems reported by producers include lack of market information and low
price due to poor body condition during the dry periods. Interestingly, farmers also
mentioned the supply side factors as having implications for their effort to respond to
market signals, the major once being feed shortage and diseases. Moreover, farmers also
reported that the unavailability of supply of stock for reproduction is a concern in their
effort to respond to market signals. Producers involved in fattening activities reported that
shortage of stock supply for fattening; especially at the time they receive the credit is a
43
problem that the extension service and the credit institutions should think of. In Metema
woreda, theft of animals was widely mentioned as a problem. In the woredas where
brokers are involved, farmers complained that brokers misinform about the actual prices
paid by buyers, collude with each other, and serve mainly the interests of buyers. Hence,
although the brokers may be serving an important function during the exchange process,
they might be profiteering at the expense of farmers.
The major problems reported by traders include lack of adequate supply of good
condition animals, inadequate market places, lack of holding (concentration) places, feed
supply, lack of market information, and multiple taxation at checkpoints (especially when
animals are trekked or trucked through towns). Lack of efficient vaccination services for
export was reported as a problem in Metema.
Exporters also reported a number of problems in the livestock marketing system. The
major problems include lack of adequate supply of appropriate and good quality
animals, poor marketing infrastructure, livestock diseases, lack of adequate sanitary
and phytosanitary services to support exports, long market channels (usually 3–5 stages
between producer and the abattoirs), and problems with airfreight transport services.
44
9 Conclusion and implications
Livestock production in Ethiopia is based on traditional technology and practices, and
is subsistence oriented. The extension service is beginning to introduce and promote
market oriented livestock production, mostly as part of the household extension package
program. The extension program combines credit supply, training, and technical
assistance. However, it must be noted that although efforts are being made to introduce
and promote market oriented livestock production, with or without fattening, these efforts
are miniscule compared with the size of the livestock population and the number of
household who rear them. Hence, it is important to build on these efforts, evaluate them
to learn lessons, and strengthen the extension service to promote the market orientation
among the wider farming population.
The major feed sources include green fodder from grazing lands; grass hay; straws, green
and dry maize and sorghum stover, and aftermath grazing; enset and banana leaves; and
fodder trees (e.g. Sesbania). Baled grass, commercial feed supply from feed processing
plants and cooperatives, and commercial by-products such as rice bran, seed cakes and
molasses are also used as feed. Commercial feed supply is emerging in urban parts of the
PLWs. The use of feed from commercial sources is, however, very limited. These results
imply the need for interventions to develop feed markets in Ethiopia.
In most of the study areas, feed shortage was identified as the most important constraint to
livestock production. In some of the study areas, livestock diseases were identified as most
important constraint. The feed shortage problem is not limited only to the unavailability
of own produced feed or naturally available feed such as from grazing lands, but also the
lack of adequate supply of feed in the market for those who could afford to buy. Hence,
alleviating the feed shortage problem stands out as critical step in promoting market
oriented livestock production in Ethiopia. Livestock diseases, ranked the second most
important constraint in most of the study areas, also need due close attention.
Potential solutions to the feed problem could vary depending on the resource bases of a
particular intervention area. In the study sites, potential interventions could include better
utilization and conservation of available feed (e.g. Metema); controlling pervasive thorny
weed Asteracantha longifolia (locally known as amekela) (e.g. Fogera); treatment of
sorghum and maize stover to improve nutritive value (e.g. Alamata, Metema and Mieso);
improving forage seed supply (all PLWs); backyard forage development and integrating
forage with perennial crops (all PLWs); and promoting collective action for grazing land
management and feed development on enclosures (e.g. Atsbi Wonberta). A proper mix of
interventions is possible in many parts of the study areas.
45
The OoARD is the sole source of extension service throughout the country. The OoARD
extension services include promoting animal fattening; promoting improved forage
technologies and feed conservation practices; improved animal management (e.g.
housing) and provision of veterinary services. Although there are signs of livestock
extension service in all PLWs, the coverage of the service is too limited relative to the
need. The relative bias in favour of crop production has left the livestock extension
service too limited. This calls for the need to invigorate the livestock extension service
throughout the country. Especially, the development of market oriented livestock
extension service deserves serious attention.
The sources of livestock credit supply include the woredas OoARD and the microfinance
institutions. It was indicated that farmers receive credit in all the PLWs mainly for
fattening purpose as part of livestock fattening extension program. However, credit
supply falls short of demand. Some farmers complained about the periodic repayment
schedule of livestock credit which, according to them, is not consistent with the fattening
cycle. The assessment of the livestock credit service indicates the need to increase credit
supply and adjust the terms and conditions of credit to the production characteristics of
livestock.
A number of feeder and primary markets exist in the PLWs. On average, there are four
livestock market places per woreda. The primary markets in some of the PLWs are fenced
in which the respective municipalities charge buyers and sellers tax for sold animals upon
exit. Some of the municipalities also charge sellers for unsold animals since they find it
difficult to distinguish between sold and unsold animals. In some PLWs shoat markets
are different from cattle markets. Markets in the PLWs do not have market infrastructures.
Livestock marketing infrastructural development needs to be considered on a case by
case basis depending on the importance of livestock in each woreda.
There are no license requirements for involvement in livestock trading in Tigray, Oromia
and SNNPR. In Amhara region license is required to involve in livestock trading business,
although enforcement of the law has not been easy. Further investigation is needed to
determine whether licensing requirements will improve livestock marketing and to find
means of better enforcement of license requirements.
Farmers and traders in all of the study sites reported no or very little access to formal
livestock marketing information, although traders may be better informed about market
conditions and prices than farmers. In most of the PLWs the OoARD collects livestock
market information which rarely gets disseminated to the producers or traders. Farmers
in all PLWs depend on actual market day information for prices and selling decisions.
Farmers identified distance to market, transportation problem and feed shortage as major
46
problems of access to livestock markets. These results imply the need to develop an
appropriate livestock market information service which could serve the needs of farmers
and traders, and market place development or facilitation of linkages of farmers to
profitable markets.
Both producers and traders are involved in selling livestock directly to consumers. Traders
can be residents of the particular woreda or who come from other areas for business.
In some areas (e.g. Ada’a-Liben, Mieso and Alaba) brokers and commission agents are
involved in livestock marketing. The role of brokers and commission agents is becoming
controversial, with farmers complaining that brokers collude to fix price and work in
favour of buyers. Further investigation is required to identify the positive and negative
roles of brokers in the livestock market in the woreda, and their links with traders and the
export abattoirs.
Livestock traders are almost exclusively male. Key informants indicated that there are
no farmer associations or cooperatives involved in livestock marketing in the woredas,
except in some areas where export abattoirs have established livestock marketing
cooperatives and unions. Every producer markets animals individually. There are no
grades and standards applied to livestock. There is little prior marketing arrangement.
There is no personalization of exchange in the livestock market; sellers usually sell
animals to whoever offers higher prices. In all PLWs, payment is effected in cash on
spot at the market place. These results imply the need to promote collective livestock
marketing by organizing cooperatives or marketing groups. Such organizations can
increase benefits from economies of scale and raise the bargaining position of producers.
The reasons for selling livestock, as reported by farmers, include the need to cover
incidental cash expenses to fill household food deficit gaps, buy clothing, cover school
and medical fees, cover expenses for social events, down payment for credit and credit
repayments, payment for labour for agricultural activities, buy other animals, and to
purchase crop inputs. Forced sales due to shortage of feed and water during the dry
period were also widely mentioned. The relative importance of the reasons for sale vary
from place to place. In some woredas, especially Metema, fear of theft was mentioned
as an important reason for selling animals. Most of the reasons for selling do not indicate
market orientation objectives. Hence, promoting market oriented livestock production
systems deserves close attention.
The animals offered for sale in the PLWs are local breeds. The sale of male shoats
dominates the sale of females. The age of shoats supplied to the markets in the eight
PLWs ranges from 1 to 2 years. The most common weight of shoats offered for sale ranges
between 15 to 25 kg live weight. The body condition of the animals offered for sale in
47
most of the PLWs was generally good, except during the dry period. The colours of shoats
demanded differ from woreda to woreda. Farmers in most PLWs sell animals mostly
during the holiday seasons. In the PLWs of Metema and Mieso, livestock sales are made
more or less regularly continuously throughout the year. With regard to frequency of
sale, farmers in most PLWs make animal sales once or twice a year, and usually one or
two animals per household per year. These results imply provision of information on the
requirements of buyers in the markets that are important for the producers.
In almost all PLWs livestock are transported mainly by trekking. The trekking cost per
head of cattle or shoat depends upon the distance travelled. In some PLWs, traders use
trucks to transport shoat to outside the woredas. In most cases, traders prefer trekking
their animals as it is cheaper than tracking. Trucking is preferred for fattened animals in
order to reduce weight loss and deterioration in body conditions. Further investigation is
required to determine the costs of alternative livestock transportation methods, including
costs of body weight loss, death of animals and deterioration in body conditions.
Farmers and traders indicated a number of problems affecting marketing of shoats and
cattle. The major ones include inadequate market places, lack of adequate supply of
good condition animals, lack of holding (concentration) places, feed shortage, shortage
of stock supply for fattening/reproduction, lack of market information and low price
due to poor body condition in some of the woredas. Informants also indicated theft of
animals; multiple taxations at checkpoints; disease; and lack of vaccination services affect
livestock marketing in the PLWs. All processors and exporters reported that shortage of
appropriate animals is the most important problem they are facing in their business. This
situation strongly indicates the need for the extension service to aggressively intervene on
the production side to increase off-take.
48
References
CSA (Central Statistical Authority). 2005. Statistical Abstract 2005. CSA, Addis Ababa, Ethiopia.
Delgado C, Rosegrant M, Steinfeld H, Ehui S and Courbois C. 1999. Livestock to 2020: The next
food revolution. Discussion Paper 28. IFPRI (International Food Policy Research Institute),
Washington, DC, USA; FAO (Food and Agricultural Organization of the United Nations), Rome,
Italy; and ILRI (International Livestock Research Institute), Nairobi, Kenya. 83 pp. Accessed
online at http://www.ifpri.org/2020/dp/dp28.pdf.
Fekadu Wolde. 2006. Brief summary of the rapid livestock marketing survey at Meisso woreda.
Haromaya University, Haromaya, Ethiopia.
Holtzman J. 1995. Rapid appraisal of commodity subsectors: The guide to developing agricultural
markets and agro-enterprises. Abt Associates Inc., Bethesda, Maryland, USA.
IPMS (Improving Productivity and Market Success). 2005. IPMS PLWs diagnosis and program
design. IPMS, ILRI (International Livestock Research Institute), Addis Ababa, Ethiopia. Accessed
online at http://www.ipms-ethiopia.org/Pilot-Learning-Sites.
Little PD, Tegegne Teka and Alemayehu Azeze. 2001. Cross border livestock trade and food security
in the Horn of Africa: An overview. A research report of the Broadening Access to Markets and
Input Systems-Collaborative Research Support Program (BASIS-CRSP) and OSSREA project on
cross border trade and food security in the Horn of Africa. Land Tenure Center, University of
Wisconsin, Madison, Wisconsin, USA. 33 pp. Accessed online at http://www.ies.wisc.edu/ltc/
live/bashorn0109a.pdf.
MEDaC (Ministry of Economic Development and Cooperation). 1999. Survey of the Ethiopian
economy: A review of post-reform developments. MEDaC, Addis Ababa, Ethiopia.
Morris M. 1995. Rapid reconnaissance methods for diagnosis of sub-sector limitations: Maize
in Paraguay. In: Scott G (ed), Prices, products and people: Analyzing agricultural markets in
developing countries. Lynn Rienner Publishers, Boulder, USA.
Thornton PK, Kruska RL, Henninger N, Kristjanson PM, Reid RS, Atieno F, Odero AN and Ndegwa
T. 2002. Mapping poverty and livestock in the developing world. ILRI (International Livestock
Research Institute), Nairobi, Kenya. 124 pp. Accessed online at http://www.ilri.cgiar.org/
InfoServ/Webpub/fulldocs/mappingPLDW/index.htm.
Tsedeke Kotcho Ketema. 2007. Production and marketing systems of sheep and goats in Alaba,
southern Ethiopia. Msc thesis. University of Hawasa, Awasa, Ethiopia.
49
Annex 1: Checklist used for rapid appraisal of livestock
marketing
1. Producers
1.1 Production orientation (subsistence, size of stock; market oriented, size of stock;
types of species marketed (sheep, goats, cattle))
1.3 Input supply (source, availability, quality, timing, price etc.) (source of initial stock,
breeding stock supply, fattening stock supply, feed supply, veterinary service, problems
with input supply)
1.4 Decision to sell (since when involved in selling, reasons for sale, time of sale,
frequency of sale and size of sale, place(s) of sale and why those places, types of buyers
(consumers, retailers, wholesalers, processors etc.), selection of buyers, relationship with
buyers, price determination, any prior arrangement with buyers, payment (cash or credit,
time after sale etc.), problems during exchange, market access (ease of access, problems
of access), opportunities for improved marketing and market access)
1.5 Characteristics of animals offered for sale (breed type, age, condition, sex, weight,
colour, hair, type of better demanded animals in the market (age, weight, colour,
condition, sex, hair etc.)
1.6 If market oriented (time business started, capital (other than value of animals), labour
involved (full time and casual))
1.8 Credit service (need for credit, purpose(s) credit needed, availability, source,
adequacy, terms, interest, problems encountered with service, opportunities for improved
credit access)
50
2. Assembly trading/wholesaling/retailing
2.1 Business and capital (type of business, time business started, capital (fixed, operating),
labour employed (fulltime, casual), type of animals traded (sheep, goat, cattle))
2.3 Selling (place(s) of sale, why these places; volume of sale/quarter, year or other time
units; relationship with buyers; sales price determination; mode of payment from buyers
(cash, credit, other), time of payment after sale)
2.6 Characteristics of better demanded animals (breed type, age, condition, sex, weight,
colour, hair)
2.7 Problems with selling (buyers, prices, market access, regulations, other)
3.1 Mode of production in woreda (subsistence, market oriented, if both, relative size)
3.3 Type of animals offered for sale in woreda (cattle, sheep, goat)
3.4 Characteristics of animals offered for sale (breed type, age, condition, sex, weight,
colour, hair, type of better demanded animals in the market (age, weight, colour etc.))
3.6 Any studies on livestock marketing and databases (studies, databases (price, volume
traded by type of species and category of animals))
3.7 Key traders in woreda (names, residence places, capital, address and telephone
numbers)
51
3.8 Livestock markets in woreda (name(s) of market(s); size of markets, market
infrastructure)
3.9 Livestock market regulations (license requirements and who issues licenses, taxation
and duties, other regulations)
3.10 Farmers’ selling behaviour (reason for selling, time of selling, frequency of sale)
3.11 Livestock trade route (within woreda livestock trade flows, inflow of livestock to
woreda, outflow of livestock from woreda)
3.15 Credit service to farmers/traders (need for credit, purpose(s) credit needed,
availability, source, adequacy, terms, interest, problems encountered with service,
opportunities for improved credit access)
3.16 Input supply service to farmers/traders (improved breed, feed, veterinary service,
other)
3.18 Market institutions in woreda (grades and standards, farmer cooperatives and
marketing groups, exchange mechanisms (e.g. auctions etc.), traders associations)
4.2 Previous studies on livestock marketing and data (previous studies on livestock
marketing, availability and accessibility of data (on prices, volume of transaction,
livestock population by zone or woreda etc.), key areas of study needed, other issues)
52
5. Regional Office of Statistics (availability of data (on prices, volume of transaction,
livestock population etc.), accessibility of data, other issues)
7.1 Licensing requirements for livestock trade (who issues licenses, licensed traders’
names and addresses)
8.2 Previous studies and data (previous studies, data (on prices, volume of transaction,
livestock population etc.), availability, accessibility)
8.3 Livestock trade routes in region (livestock trade flows within region, inflow of
livestock to region, outflow of livestock from region)
9.2 Previous studies and secondary data (previous studies, data availability and
accessibility)
53
54
Annex 2: Livestock trade routes of Tigray Region
2.1 Inward trade animals flow routes, Tigray Region
Shire
Fiyelweha Tselemti Maitebre Endaba Guna Goats dominant
Adidaeiro
Afar
Region Wukro Adigrat Goats and cattle dominant
Berahile
Endasellase Edagahamus Adigrat Sheep, goats dominant
(Dera)
2.2 Intra-region animals trade flow routes of Tigray Region
Edaga
Frewyni Adigrat Goats, cattle dominant
Hamus
Southern
Mehoni Adigudom Mekelle Eastern Zone Wukro Adigrat
Zone
Abraha Megave Hawzen Bizet Goats, cattle dominant
Atsbaha
Nebelet
Enticho
Agbe Nebelet
Shere/
Axum Adwa Bizet Cattle dominant
Endaselase
Western
Zone Shire Adwa Bizet Cattle, goats dominant
Adiabo
Chila Rama Cattle, goats dominant
Medebay
Zana
Seleklek Axum Adwa Bizet Cattle dominant
55
56
2.3 Outward animals trade flow routes, Tigray Region
Adigrat
57
58
3.2 Intra-region animal trade flow routes, Amhara Region
59
60
Annex 4: Livestock trade routes, Oromia Region
4.1 Inward animal trade flow routes, Oromia Region
S/Omo
Konso Arbamnich Wolayita Awassa Debre Zeit Addis Ababa
(Kuraz)
Dodola Asela, Sagure Dera Nazareth Debre Zeit Addis Ababa Cattle, shoats
Arsi Negelle Koka Modjo Debre Zeit Addis Ababa Cattle, shoats
Negelle Borena Koka Modjo Debre Zeit Addis Ababa Cattle, shoats
Weter Tulo Mieso Nazareth Debre Zeit Addis Ababa Cattle dominant
Kuyu Ginbichu Fiche Debre Libanos Sululta Addis Ababa Shoats cattle
61
62
4.3 Outward animals trade flow routes, Oromia Region
Negele Borena Hagre Selam Aleta Wondo Wenago Awassa Shoats, cattle
63
64
5.2 Intra-region animals trade flow routes, SNNPR
Sirado Shoats
Alaba
South Omo (Kuraz) Konso Arbamnich Wolayita Awassa Debre Zeit Shoats, cattle
South Omo (Kuraz) Konso Arbamnich Wolyita Awassa Addis Ababa Shoats, cattle
65